The CROC Co. is considering a new milling
machine. They have narrowed the choices down to three alternatives
in addition to the Null alternative. The relevant data are shown in
the table below.

Never use plagiarized sources. Get Your Original Essay on
Question: The CROC Co. is considering a new milling machine. They have narrowed the choices down to three a…
Hire Professionals Just from $11/Page
Order Now Click here
Data
Alternative
Economy Regular Deluxe
First Cost $75,000 $125,000 $220,000
Annual Benefit $28,000 $43,000 $79,000
M & O Costs $8,000 $13,000 $38,000
Salvage Value $3,000 $6,900 $16,000
All machines have a life of ten years. Using
incremental rate of return analysis, which alternative should the
company choose? Use a MARR of 15%.
**please show work to be rated**
A)Null
B)Economy
C)Regular
D)Deluxe

Open chat
Lets chat on via WhatsApp
Hello, Welcome to our WhatsApp support. Reply to this message to start a chat.